Chapter 16: Advertising, Public Relations, and Sales Promotion Flashcards
What is a popular form of promotion for consumer-packaged goods and services?
Advertising
How is promotional spending typically divided?
- Measured media: TV, newspapers, magazines
- Unmeasured media: direct marketing, promotions
Which countries spend the most on marketing?
- USA
- China
- Japan
- the UK
- Germany
What kind of skills do companies now need in advertising?
Web-savvy, creative people skilled in interpreting digital ad campaign data
What is the advertising response function?
A phenomenon where increased advertising spending boosts sales/market share up to a point, but then produces diminishing returns
What are some effects on advertising on consumers?
- Informs
- Influences attitudes
- Reinforces positive attitudes
- Affects brand attribute rankings
What are the 2 major types of advertising?
- Institutional advertising
- Product advertising
What is institutional advertising?
Advertising design to enhance company’s image rather than promote a specific product
What is advocacy advertising?
A type of institutional advertising where a company expresses views on controversial issues or responds to media attacks
What are the 3 types of product advertising
- Pioneering
- Competitive
- Comparitive advertising
What is pioneering advertising?
Advertising that stimulates primary demand for a new product or category, used during the introductory stage of the product life cycle
What is competitive advertising?
Advertising that influences demand for a specific brand, often focusin on emotions and brand recall
What is comparative advertising?
Advertising that compares 2 or more specifically named competing brands on 1 or more attributes
What is the purpose of an advertising campaign?
To focus on a comman theme, slogan, or advertising appeal across a series of related advertisements
What is the DAGMAR approach?
A method for setting advertising objectives by defining goals for measured advertising results
Why should advertising focus on product benefits instead of attributes?
Because customers buy benefits, not attributes
What makes an advertising appeal effective?
It must be desirable, unique, believable, and make a positive impression
What is a unique selling proposition (USP)?
A desirable, exclusive, and believable appeal selected as the theme for an advertising campaign